By Liv Osby HEALTH WRITER losby@greenvillenews.com
A doctor who sees 50 patients daily in his office, psychiatrists
working more than 24 hours a day, and ambulance rides with no
destination.
Fraudulent Medicaid claims like these cost South Carolina
millions of dollars every year, according to the state Department of
Health and Human Services.
But now the state has a new tool to help it catch Medicaid crooks
-- computer technology that can recognize billing abnormalities.
About 1 million South Carolinians are enrolled in the $5 billion
Medicaid program for the poor, which uses $1.5 million in state
funds.
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And even though the state recovered more than $17 million in
phony claims last year, with 46 million claims submitted annually by
30,000 health-care providers, fraudulent bills, as well as
unintentional billing errors, are bound to slip by undetected, HHS
spokesman Jeff Stensland said Tuesday.
But with the new system, provided under a five-year, $9.6 million
contract with Thomson Medstat, the state expects to save another $2
million to $8 million a year, he said.
Already, a dry run uncovered $167,517 in ambulance service claims
with no corresponding hospital or doctor claim, $670,000 in charges
from five psychiatrists who would have had to have worked more than
24 hours a day to justify their bills, and Medicaid beneficiaries
going doctor shopping in order to obtain drugs, Stensland said.
After further investigation, those cases could be referred to
state Attorney General Henry McMaster for prosecution, he said.
Last week, McMaster filed a $40 million lawsuit against five
major drug companies, alleging that they inflated prices for drugs
covered by Medicaid and state health plans. A similar suit in Texas
recovered $55 million so far, he said.
"Medicaid fraud is a serious matter," HHS Director Robert M. Kerr
said in a release. "Our investment in the Medstat system will help
us maintain program integrity, operate more efficiently and protect
the taxpayers."
Kathleen Snider, head of the department's Bureau of Compliance
and Performance Review, said the new system puts South Carolina at
the cutting edge of fraud detection technology.
"It will shine a light on questionable practices and ultimately
rein in wasteful spending," she said.
Stensland said the Medstat system also will be used to ensure
that best practices are followed and to help make policy decisions.
The federal government is picking up 90 percent of the cost the
first year and 70 percent a year thereafter, Stensland said.
Michigan-based Thomson Corp. provides technology services to
Medicaid programs in a number of other states, according to the
department. |